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EBRD, Ukraine agree Naftogaz reform, sign $300 million loan

Staff writer ▼ | October 24, 2015
The European Bank for Reconstruction and Development (EBRD) and Ukraine signed a loan agreement for $300 million to finance purchases of gas for the coming winter.
Energy and politics   To fill up strategic storage
The loan is tied to a programme of corporate governance reforms at NJSC National Joint Stock Company Naftogaz, the national energy company.

Naftogaz will use the funds to tender for purchases of about 1.1 billion cubic metres of gas. The gas will be used to fill up Ukraine’s strategic storage facilities ahead of the winter.

The EBRD loan is conditional upon a programme of corporate restructuring at Naftogaz, including the creation of a supervisory board of independent and qualified directors, the introduction of internal audit, compliance, anti-corruption and risk management functions and an ownership and governance structure in line with best international practice.